- Thread starter CaribeDigital
- Start date
Time to buy a hotel?
Well, I would not call it complex as such. For being complex it would need to have some deeper sense behind, while in reality it is just that they give you the run around with ridiculous arguments. The system is very simple: They will always ask you for one paper more.
Most ridiculous thing I had: The signature of the notary is not done well, you have to redo the foundation act of the company again because the notary did not sign nicely....
Just founded another company, - took 3 month although with the single windows-process it was supposed to take 3 weeks - getting the RNC was the least of the problems.....the worst problem is the bank by the way, they are still blocking the bank account with the foundation money. A new twist in the never ending tale of how to get your money...
Alternatively I paid before to a big lawyer-company a decent amount and they got it done in almost no time (they do for sure know WHERE and WHOM to ask in a way no one is giving them the run-around) and without any hassle for me.
I will crash the market of properties along the beaches, where the business case to buy a property includes renting it out via airbnb. No more rental income - the prices have to come down a lot.
I doubt they will rock that boat in a situation when the market is already crashing.
Just one little detail more:
In any hotel I know, whoever makes his payment in cash, they never pay ITEBIS and never declare that income. And it is not just very small hotels. Of course not the AI resorts (I hope, but who knows...)
And by the way, if a client pays by credit card, then the ITEBIS is declared, but that's more because the one intelligent move DR made ist to use the credit card organisations to collect part of the ITEBIS directly via the surcharge of the credit card payment AND to transmit all transactions to the authority. That was the only way to get the tax to be paid. Any payment not entering via credit cards goes the usual Dominican way....
This tax argument isn't really the best of all arguments. beside of that if airbnb agrees, they can do it JUST the same way like the credit card companies, directly subtract it from the payments. Easy and proven.
Of course, because small hotels are now on airbnb too.
Why? Because for example booking has a huge problem with no-shows, like up to 95% no-shows. This is because they do not like airbnb charge the clients, as such a reservation via booking may have a cancelation fee, but that is never paid. And I did try pre-authorisation of clients credit cards, but that being in RD in the list of countries with a very bad reputation at credit card organisation, I could never get the actual cancelation payment because the client always complained and got his way every single time with the credit card organisation. Of course illegal, as I had a reservation contract with a clearly specified cancelation fee, but how can you enforce it? Booking is not helping but putting pressure at the hotel owners to be nice and not charge cancelation. So many hotel owners I know are so pissed on booking, you would not believe it. And booking still saying they are working on a payment solution but it is not available.
Not so with airbnb. They do all the money work and get the money from the clients, be it for the stay or for cancelations. Thats why a lot of hotels switched to airbnb too and with very good reasons. This has nothing to do with RNC (which we all have) or with the original idea behind airbnb. It is because airbnb is offering something the others do not. As simple as that.
Hoteliers slam Dominican Govt.’s failure to regulate Airbnbs
<p>Santo Domingo.- The rooms rented through platforms such as Airbnb already account for 25% of Dominican Republic’s hotel offer, according to sector business leaders in the third annual Asonahores Tourism Investment Forum. The panelists at the event, Frank Rainieri, of Grupo Puntacana...dominicantoday.com
The approach will be to tax the AirBnBs, but this will require them to be registered as businesses, and to get approval from Ministry of Tourism, which takes years and about a million forms to get. So, although they won't be closed down, they will be in all but name.
Ok, this is a digital tax. The same like the European Union has proposed and to which Donald Trum has responded that he will tax Europe to hell if they ever consider to implement as all the companies affected are US companies.
Lets see what the US ambassador has to say about that plan and how Trump will like it. The DR are not the first country to have THAT idea....
That may have been the case in the past, but these days that isn't correct. When you declare your ITBIS monthly on the IT1 you have to say what your total sales were, how much was on credit cards and how much by bank transfer and how much in cash. The DGII won't believe hotels who say that every cent was paid on credit cards so you have to declare at least some in cash. The other complication is that you have to pay 100% of the Propina Legal to your staff, and trust me they know exactly how much this is. So if you don't declare all your sales including cash sales to DGII, and your staff know that your sales are more, then you are lining yourself up for problems.
You need to look at the "exceptions" close, printed in small print on DR1. *Except when dealing with and in the Dominican Republic. Very important and often overlooked by those that "think" they have the answer to the quiz but ...didn't pay attention.Indeed it is the best time to buy as the quote follows
Never did grasp the airbnb concept. I stay at the JW Marriott or a Hodelpa property when I am in S. D for business. Cant imagine anyone renting out a room that can compete with their product. Same on the North Coast. I am not sleeping in accommodations that do not have a track record. I know the airbnb product has gotten popular but so are hostels and campgrounds. It aint for me.
Renting a room is good and affordable for youths who are not into hostels. You can see what you rent and read reviews, I sure wish it was available when I was a broke college student. I would have traveled to many more places.
With Airbnb but I strictly rent whole houses or apartments. I have done it all over the world without a problem. I love hotels as well, but only for short stay since , but after a week, I can't stand eating out for every single meal.
Ha try being a business traveler using these hotel's wifi systems. Its like the 56k days and in some hotel brands they make you pay for that crap. Airbnb is worth it just for the wifi alone.
I travel to SD on business and pleasure as well. Marriott or any hotel will never compare to having your own penthouse or villa with a private hot tub/pool and a personal chef (many great chefs in SD that can be hired at the drop of a hat). More options across the board as well...
excellent facility. so many of the colonial zone old buildings have a musty smell. even if renovated. casa Sanchez is fresh and airy.
there are few accommodations that are in the same league as the Marriott or Hodelpa in regards to service and amenities. Both have hot tub and pools. They also have gyms, business centers and good restaurants. I am not going to rent a Penthouse that has purple velvet drapes and pink tile. Guido needs xtra cash so he puts his apt up for rent and throws in some moto guy and ,calls him a chef. I am a businessman with standards. As a poster indicated earlier, its one thing if you are a college student or a traveling hippy. airbnbs cater to a certain clientele and it aint me. P.S there are some extremely nice boutique hotels in S.D as well and they cater to business peeps
i mix it 50/50 some places the airbnb's are super cheap. I used to only get "the entire place" but recently started renting a room in an apartment. sometimes it turns out to be a hotel. Only weird thing is you don't know when people come and go.
I'll use a cheap air bnb as a bag stash if i go overnight during a long trip and then i'll treat myself to a fancier hotel.
best part is you get the idiosyncracy of a country. I like to see basic home goods and how they compare with what i'm used to. Although everyone in DREPUB is IKEA crazy.
My translator and personal assistant hires my chefs when I’m unable to schedule with my main. They don’t ride motos. My main chef Nayeli drives a c-class Mercedes, not a moto. Shows your level of intellect and assumptions. I guess that’s why you’re a businessman instead of a majority shareholder...
Like I stated before, a hotel can never compare to a penthouse or villa with a private pool and hot tub, more amenities, more freedom and privacy. You do realize many villas and penthouses have private gyms... Maybe raise your standards a bit higher when searching for accommodations or maybe like most you just can’t afford it (I can pay $20,000US per month for a nice villa or penthouse even though I own a penthouse and 2 condos in SD). I was raised wealthy so my standards are usually miles ahead of others who assume they have high standards as well. When in reality, their not intelligent enough to realize what they’re missing out on.
Some of us are intelligent enough